Associations Demand Inclusion of Wine in Tariff Negotiations

The Association of German Wine Exporters (VDW) demands the inclusion of wine in the tariff negotiations between the EU and the USA. Just a few days ago, US President Trump announced that all goods from the EU would be subject to a 30 percent tariff. At the same time, he expressed openness to further discussions if the EU is willing to open previously closed markets to the United States and eliminate trade barriers.

The current negotiations aim to mutually reduce or completely eliminate tariffs on certain products to prevent a trade war. This primarily includes industrial goods such as machinery, cars, pharmaceuticals, and aircraft parts. Wine and other agricultural products were not included in this list of negotiated goods by the EU Commission. Therefore, they would not be covered by potential tariff reductions under an agreement. The USA is the most important export destination for EU wines, with a value share of 27 percent and a volume share of 21 percent. “The EU Commission’s decision to exclude wines from the list of goods to be included in the agreement with the USA is a severe blow to the German and European wine industry,” explained VDW Managing Director Christian Schwörer.

The French trade magazine Vitisphere reports similar reactions from France. According to the Fédération des Exportateurs de Vins et Spiritueux (FEVS), the USA is the most important foreign market for French wines and spirits, with a revenue of 3.8 billion euros. An increase in tariffs to 30 percent could, according to their calculations, mean a loss of more than one billion euros.

Representatives of European wine producers emphasize that the US economy would even benefit from wine imports from Europe. They refer to data from the U.S. Wine Trade Alliance (USWTA): European wines account for 75 percent of the revenue of American wine distribution. According to USWTA, the USA imported wine worth 5.3 billion dollars in 2024, generating 23.96 billion dollars in revenue – resulting in a surplus of almost 19 billion dollars. For every euro that European wine exports generate in the USA, a value creation of about 4.50 dollars occurs there. Ben Aneff, President of USWTA, states: “Wine is not the problem that President Trump wants to solve. On the contrary: Transatlantic wine trade is a success model that creates American jobs and generates a trade surplus for the USA. A loss of this revenue would be a self-inflicted wound that weakens American trade, workers, and the entire US economy.” Therefore, USWTA sees Trump’s threat as leverage and not as a final decision.

This is also the position of Ignacio Sánchez Recarte, Secretary General of the Comité Européen des Entreprises du Vin (CEEV): “An import tariff of 30 percent would severely impact transatlantic trade and displace many EU wines (and other EU goods) from the US market,” he wrote on LinkedIn. “However, I do not view this as a final decision, but as a call to continue negotiations with the EU.”

(al, uka)